New Fortress Energy downgraded to Neutral from Buy at BTIG

BTIG downgraded New Fortress Energy (NFE) to Neutral from Buy without a price target The shares are down 65% since the company reported Q1 earnings in mid-May as investors have increasingly focused on the company’s debt stack, the analyst tells investors in a research note. The firm says that while New Fortress’ next debt maturity is not until September 2026, with the 2026 bonds trading in the 40s owing to covenants on the revolver and term loans which limit buybacks on the 2026 bonds, a potential debt exchange layered with equity looks like a potential solution. BTIG expects New Fortress to address its near term liquidity concerns, but with PortoCem not coming online until mid-2026, it expects the balance sheet to be an overhang on the stock.